Got an appeal for overpaid HB/CTB.
The claimant received working tax credit and child tax credit, but was overpaid WTC. IR have been offsetting the overpayment from Child Tax credit, so the claimant did not receive any child tax credit, until the overpayment had been repaid in full.
In the meantime we still took child tax credit into account for HB/CTB as there was still an entitlement.
The claimant is appealing, as we had previously already used working tax credit as an income, eventhough they were not entitled to receive it in the end, hence the overpayment. The claimant now believes they are being treated unfairly, as we used it as an income, IR are offsetting the overpayment from current child tax credit entitlement and we are also taking child tax credit into account as an income, as they are entitled to receive this benefit.
Please advise if we should be using child tax credit in the current calculation of HB/CTB
Thanks